WILL the 3 Waters Proposal cost you MORE?

Goodness, this man makes so much sense and explains the proposal in easy to understand, commonsense terms. I strongly urge all ratepayers, no matter where you live, to give Bruce Smith air time. It really is important for everyone’s financial future.

SUMMARY OF THE VIDEO

Bruce Smith, the mayor of Westland, gives his summary of the government’s proposal for Three Waters:

“1. The case for change has not been proven

2. The water quality bar has been set at a level unaffordable to New Zealanders, evidenced by the increased costs that will be invoiced by the regulator and supplier to every New Zealand household. One size does not fit all.

3. The loss of local control and influence feels like a step too far. Confiscation of assets paid for and built up over generations with no compensation will struggle to gain public support.

4. Some say that the proposal to give the right of veto to Maori, who make up 16.7% of the New Zealand population, is undemocratic, and it will find little support. It’ll take us backwards not forwards. And the other 50% vote will be given to councils.

5. The borrowing up to $160 BILLION dollars by the new proposed entities will be using as security, assets transferred from our councils and paid for by generations of New Zealanders. I have to tell you, this feels reckless to me.

6. The timeframes being urgently pursued by the government, suggest to me that this is not about 3 Waters. If it is, why would there be this urgency? A public referendum in every district will allow our residents and our ratepayers, who along with their families over generations have paid for these three water assets — and on that basis, the decision to opt in or opt out, must come directly from them. It’s too big a call for elected councillors.”

Here is Part 2 of the Westland District Council Mayor’s Three Waters journey
– as of 21 July 2021

https://www.youtube.com/watch?v=UtF06mO5ItM

WARNING: The NZ government based their decision to implement the 3 Waters system, on the analysis provided by 2 major companies, who compared and analysed the 3-waters system currently in Scotland, to it’s effects  on New Zealand if implemented.

These 2 independent analyses concluded that there are MAJOR DIFFERENCES between Scotland and New Zealand, and that therefore they could not reasonably predict the outcome in New Zealand. 

Read the details:

WHAT ARE THE 3 WATERS ?

‘Three waters’ is core to the functioning and development of local communities and businesses. It means the drinking water, wastewater and stormwater infrastructure services.

WHAT DO OTHER REGIONS SAY SO FAR?

Masterton Mayor Lyn Patterson said data had not yet been provided on a district-by-district basis, but the potential for the sale of assets into private hands was a worry:

“We haven’t seen the data pertaining to here, but we do know as a sector that we have a huge amount of investment to make, right across the country,” Patterson said.

“We will look with interest at the final piece from central government. One of the concerns has been about privatisation.

“This government said they wouldn’t privatise, but our concerns is how do we protect that in future if another government may be in place. There’s still a lot of concern and still a lot of detail to go through.”

Carterton District Council will consult with locals before making any decisions, expected by the end of the year, “so we can consider the community’s views before making any final decisions”, a statement said.

Wairarapa households could face massive rises in water rates as the nation’s plumbing problems are addressed.. South Wairarapa District Council’s decision making on Three Waters remains tied to the Wellington Water conglomerate, made up of city and district councils in the capital region.

Source: RNZ

WHAT DOES THE GOVERNMENT SAY?

Minister for Local Government Nanaia Mahuta this week said at least $120 billion would be needed to get drinking water, wastewater and stormwater infrastructure up to “acceptable public health and environmental standards”.

It was “clear the affordability challenges facing our water infrastructure are too great for councils alone”, Mahuta said. “This research underscores the overall benefits of reform by reducing future costs on households, creating new jobs and contributing to regional economies and local industry – all of which build on our economic recovery [from Covid-19].”

The work would open up opportunities for more than 5000 jobs, but the sector was already suffering from a skills shortage, Mahuta said.

In a 2020 ministerial briefing, the industry body Water New Zealand said the big gap in “capacity and competency in our workforce” was the sector’s biggest challenge.

“This will require co-ordination and support from across the education and vocation sectors and in particular, the government.”

WHAT DID THE GOVERNMENT BASE THEIR DECISION ON?

WARNING: The NZ government based their decision to implement the 3 Waters system, on the analysis provided by 2 major companies, who compared and analysed the 3-waters system currently in Scotland, to its effects  on New Zealand if implemented.

These 2 independent analyses concluded that there are MAJOR DIFFERENCES between Scotland and New Zealand, and that therefore they could not reasonably predict the outcome in New Zealand. 

Read their conclusions below!

The NZ government’s report:

National Evidence Base (quoted)

“This analysis and modelling advances the evidence base informing the case for change for the Three Waters Reform Programme. ” Analysis of the economic benefits of reform by the Water Industry Commission of Scotland (WICS), are  independent reviews of WICS’ methodology by Farrierswier * (who state, “forecasts almost always turn out incorrect, especially over a 30-year horizon”) and Beca**, and an analysis of the effects of the proposed reform on the economy and affected industries by Deloitte. * Farrier’s review states, “Importantly, our review has not assessed whether the outputs from WICS (Scotland)’ analysis (e.g. expenditure, revenue and price forecasts) are reasonable, nor whether the calculations used to derive those outputs are free from error.

**Beca’s review of the WICS analysis concludes,The high-level differences between the three waters sector in Scotland and New Zealand, and any consequences for the outcomes and conclusions arising from the WICS modelling of the status quo and different aggregation scenarios can be summarised as in Table 3 below.” Note: the highlighting is ours:

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Michael Frost
Michael Frost
August 9, 2021 12:25 pm

Democracy under threat. Its like the electricity reforms… Read more »

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Michael Frost
Michael Frost
August 9, 2021 12:25 pm

Democracy under threat. Its like the electricity reforms… Read more »

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